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BTC has been trading strongly higher and we got test of $7.411. The momentum is strong and we expect more upside continuation.

According to the H4 time – frame, we found there is a very strong bullish momentum on the BTC and extended run is present. IT is very risky to watch for selling opportunities at this stage. ADX is ready is very strong and rising, which is indication of the strong bullish momentum. These are references:

Upward:

Swing high – $7.411

Upward projection - $7.900

Downward:

Swing low - $6.822

Watch for buying opportunities due to strong upward momentum. Upward target is set at the price of $7.906.

Gold has been trading upwards as we expected last week. The price tested the level of $1.299. There is still space for more upside so you should watch for buying on the pullbacks.

According to the Daily time – frame, we found that there is the breakout of the 5-day balance and break of key resistance at the price of $1.291, which was the strong clue for the present upward momentum. References are set:

Upward:

Swing high – $1.309

Stronger swing high – $1.324

Downward:

Swing high became support - $1.291

Balance low - $1.266

We are holding our long position and we secured position on the breakeven. You can watch to add buy position the pullback. Main target is set at the price of $1.309.

The NZD/USD pair is showing signs of weakness following a breakout of the lowest level of 0.6648. On the H1 chart, the level of 0.6648 coincides with 23.6% of Fibonacci, which is expected to act as minor support today. Since the trend is below the 23.6% Fibonacci level, the market is still in a downtrend. However, the major resistance is seen at the level of 0.6690. Furthermore, the trend is still showing strength above the moving average (100). Thus, the market is indicating a bearish opportunity below the above-mentioned support levels, for that the bearish outlook remains the same as long as the 100 EMA is headed to the downside. Therefore, strong resistance will be found at the level of 0.6690 providing a clear signal to buy with a target seen at 0.6575. If the trend breaks the minor resistance at 0.6575, the pair is likely to move downwards continuing the bearish trend development to the level 0.6544.

The GBP/USD pair continues to move upwards from the level of 1.2988. Last week, the pair rose from the level of 1.2865 to a top around 1.3184 but it rebounded to set around the spot of 1.2988. Today, the first resistance level is seen at 1.3060 followed by 1.3184, while daily support 1 is seen at 1.3184 (61.8% Fibonacci retracement). According to the previous events, the GBP/USD pair is still moving between the levels of 1.2988 and 1.3184; so we expect a range of 196 pips in coming days. Furthermore, if the trend is able to break out through the first resistance level at 1.3060, we should see the pair climbing towards the double top (1.3184) to test it. Therefore, buy above the level of 1.2988 with the first target at 1.3060 in order to test the daily resistance 1 and further to 1.3184. Also, it might be noted that the level of 1.3184 is a good place to take profit because it will form a double top. On the other hand, in case a reversal takes place and the GBP/USD pair breaks through the support level of 1.2988, a further decline to 1.2865 can occur which would indicate a bearish market.

Gold has managed to gain upward momentum which pushed the price higher towards the 1290.00 resistance area forming a bullish counter.

Gold found early support as markets weighed up an increase in the US tariffs on imports from China, souring sentiment and weighing on bond yields. That bolstered the appeal of non-interest-bearing alternatives. Investors are waiting to see the Federal Reserve's response to the change in the US trade policy as the Retail Sales index is expected to climb by 0.2% in April, while the University of Michigan's Confidence survey is likely to show an increase to 97.9 in May from 97.2 in April.

Recently, the statements of the Fed's officials about the current economic status were quite mixed. Due to the US-China trade war, Atlanta Fed President Raphael Bostic warns that consumer will feel the hit of boosted tariffs while the inflation is quite low. According to the Fed's comfort, US inflation has been too weak, while the regulator has been trying to achieve the 2% target. Bostic cautioned about the situation when the price pressure may push inflation higher which might be unbearable for mass consumers.

This week, the US Retail Sales report is likely to show a decrease to 0.2% from the previous value of 1.6%. Today FOMC member Clarida is going to speak about the short-term interest rates and monetary policy decisions.

As for the current scenario, gold is likely to regain momentum as the pessimistic forecast for the high impact economic reports from the United States is expected to influence the market sentiment. As the price breaks above 1290 with a daily close, the upward path is quite clear to head towards the 1310 resistance area in the coming days.

The eurozone's economy has signaled some improvement. So, positive fundamentals indicate that the slowdown is coming to an end but it is still early to judge about it. Despite positive changes in the eurozone's economy, ECB's chief economist Praet thinks that the eurozone needs to make joint efforts to maintain momentum. The ECB is planning long-term measures to tackle the economic slowdown problem.

This week, not many macroeconomic reports are posted in the eurozone. On Wednesday, Germany is to present a Prelim GDP report which is expected to increase to 0.4% from the previous value of 0.0% and Flash GDP is expected to be unchanged at 0.4%.

On the USD side, recently Fed officials made mixed remarks on the current economic state of affairs. Due to the US-China trade dispute, Fed official Bostic warns that consumers will feel the hit of higher import tariffs while the inflation is quite low. Contrary to Fed's expectations, consumer inflation has been too weak trying to achieve the 2% target. Bostic cautioned about the situation where the price pressure may push inflation higher which might be unbearable for mass consumers.

Fed official Williams recently stated that the US economy has been on a sound footing despite trade war tensions. The optimistic statement from Williams improved market sentiment towards USD. However, the market is still not convinced about the steady growth momentum in the US economy as US President Donald Trump has already raised tariffs from 10% to 25% on Chinese imports worth nearly $300 billion.

This week US Retail Sales report is going to be published which is expected to conract to 0.2% from the previous value of 1.6%. Today FOMC member Clarida is going to speak about the short-term interest rates and monetary policy decisions.

Meanwhile, EUR is more optimistic than USD currently. However, any positive reading in the US reports may encourage further strength of USD. Otherwise, the price is expected to correct itself in a volatile manner in the coming days.

Now let us look at the technical view. The price is currently stuck below 1.1300 while rejecting off the mid-point of 1.1250 from where it is expected to trade lower. Though the bearish pressure is still unconfirmed, a daily close below 1.1200 is expected to help the bearish momentum strengthen further with a target towards 1.1000-50 support area in the coming days. As the price remains below 1.1300 area with a daily close, the bearish bias is expected to continue.

Bitcoin recently was rejected off $7,500 within an impulsive non-volatile bullish trend. The price is currently trading at near $7,000 making a correctional decline in a volatile manner.

The world's largest cryptocurrency hit a new yearly peak at $7,568.32, thus bringing its year-to-date net rebound up to 140 percent according to San Francisco-based Coinbase exchange. The consistent momentum indicates that bulls are currently in control and expected to push the price higher towards $8,000 in the coming days. Moreover, online investment service TD Ameritrade began offering stimulated bitcoin trading through Nasdaq, raising hopes that a full-fledged bitcoin adoption was underway.

Currently BTC price is trading firmly above $7,000. MACD showing a squeezing bearish histogram signals a bounce off $7,000 that may push the price towards higher with a target towards $8,000 in the coming days. After certain corrections and false breaks below $7,000, the bullish pressure is constant. Besides, being above the dynamic level of 20 EMA reaveals the continuation of the bullish momentum. As the price remains above $7,000 area further upward pressure is expected in the future.

The US Department of Justice has issued an indictment containing fifteen charges against the community hacker group responsible for stealing cryptocurrencies through SIM-swap.

US Attorney General Matthew Schneider and his colleague from the US immigration and customs office Angie Salazar have filed charges in the east of Michigan. On behalf of Salazar, the investigation was conducted by investigators of the Department of Homeland Security on two continents.

According to an indictment, five Americans and an Irishman are accused of conspiracy to commit fraud, embezzlement and identity theft. Another three people who are reportedly former employees of mobile operators are accused in a criminal case regarding fraud related to The Community.

Technical Market Overview:

The ETH/USD pair has made a new higher high at the level of 202.38 and it was labeled as the top for the wave 1. This means the market should now start the corrective cycle towards the next important technical support located at the level of 181.57 or even at 179.48. When the corrective move down is completed, the market should start the wave 3 to the upside.

Weekly Pivot Points:

WR3 - $255.44

WR2 - $227.68

WR1 - $210.10

Weekly Pivot - $184.14

WS1 - $165.18

WS2 - $137.00

WS3 - $119.84

Trading Recommendations:

The market has started the corrective cycle after the rally has been done, so the best trading strategy for daytraders is to open the sell orders during the local pull-backs to trade the corrective move towards the technical support levels. Any violation of the technical support at the level of $184.31 will accelerate the sell-off towards the next technical support at the level of $179.48.

The Banking, Housing and Urban Affairs Committee of the United States is looking for information on the cryptocurrency project reported by Facebook. The Committee addressed its concerns to the founder and president of Facebook, Mark Zuckerberg.

The Committee highlights certain aspects of consumer protection by asking Zuckerberg how the company plans to protect consumers' financial information and whether Facebook shares or sells consumer information to unrelated third parties.

Last year, the social media giant became entangled in controversy and became the subject of several scandals regarding the privacy of users' data. In April 2018, Zuckerberg testified before the Congress on the company's practices. Canadian legislators called on Zuckerberg to testify after Facebook was found to have violated state privacy laws.

Further questions from the commission concerned the question whether Facebook has any information on the solvency of persons, their creditworthiness or information that could affect their ability to secure a loan.

Technical Market Overview:

The BTC/USD pair has made another higher high at the level of $7,412 after a rally from the level of $5,834. This recent top might be the end for the wave (1) of the higher degree as the wave 4 of the lower degree had terminated sooner than expected at the level of $5,834. Moreover, the market has made a Bearish Engulfing pattern at the top of the wave (1), so it is another clue that the uptrend needs a rest and the correction in wave (2) might have been started already.

Weekly Pivot Points:

WR3 - $9,616

WR2 - $8,405

WR1 - $7,809

Weekly Pivot - $6,737

WS1 - $6.172

WS2 - $5,060

WS3 - $4,504

Trading Recommendations:

The market is moving down after the rally, so the best trading strategy for daytraders is to open the sell orders during the local pull-backs to trade the corrective move towards the technical support levels. Any violation of the technical support at the level of $6,821 will accelerate the sell-off towards the next technical support at the level of $6,642.

The EUR/USD pair continues to consolidate above 1.1200/10 levels for now and potential remains for a drop back into 1.1200 zone before rallying one last time towards at least 1.1280 levels before reversing sharply. Let us simplify the trade setup here: it is a safe trading strategy to sell into rallies towards 1.1280/1.1320 levels going forward, considering the fact that the recent wave that began from 1.1111 could still be incomplete and requires one more high above 1.1260 levels. Hence, conservative traders should stand aside and wait to short again around 1.1280 levels. Another way to view is the counter trend rally which is up and could provide long opportunities for aggressive traders. Another long opportunity could be seen around 1.1210/20 levels with risk below 1.1700 levels. Hence aggressive traders might want to take long positions there and take it towards 1.1280 levels, before reversing trades. Also note that the channel line for counter trend rally to terminate is seen around 1.1280/1.1300 levels respectively which is complementing the aggressive view explained above.

The GBP/USD pair has tried to break through the trendline resistance around the level of 1.3039, but the rally higher was a fake one and the market returned quickly to the range zone. It means, that despite the neutral momentum the bulls are still trying to get back the control of the market and push the price above the trendline because as long as the market trades below it, the outlook remains bearish and the new local lows can happen anytime soon. The key short-term technical support is seen at the level of 1.2962.

Weekly Pivot Points:

WR3 - 1.3288

WR2 - 1.3229

WR1 - 1.3095

Weekly Pivot - 1.3031

WS1 - 1.2885

WS2 - 1.2821

WS3 - 1.2676

Trading Recommendations:

The market is moving inside of the trading below the trendline, so the best trading strategy for daytraders is to open the sell orders during the local pull-backs. Any violation of the technical support at the level of 1.2962 will accelerate the sell-off towards the next technical support at the level of 1.2875. Please pay attention to the price action signs of reversal and candlestick patterns at the range support and range resistance to confirm the level for the trading position.

The EUR/USD pair has bounced from the level of 1.1173 and is slowly moving higher towards the technical resistance located at the level of 1.1264. The move up is not impulsive, but it is still corrective in nature, so it is not the beginning of an uptrend, but the continuation of the previous cycle. Only a sustained and impulsive breakout through the technical resistance zone located between the levels of 1.1264 - 1.1273 would change the outlook from bearish to bullish.

Weekly Pivot Points:

WR3 - 1.1359

WR2 - 1.1302

WR1 - 1.1271

Weekly Pivot - 1.1201

WS1 - 1.1184

WS2 - 1.1129

WS3 - 1.1099

Trading Recommendations:

The market is moving inside of the trading range between the levels of 1.1264 - 1.1173, so the best trading strategy for daytraders is to trade the oversold/overbought trading conditions using an oscillator like Stochastic until the breakout occurs. Please pay attention to the price action signs of reversal and candlestick patterns at the range support and range resistance to confirm the level for the trading position.

The sideways consolidation we have seen over the last couple of days, should lead to a final dip towards our target near 141.05 to complete the wave 2 and set the stage for a new impulsive rally in the wave 3 towards 151.30.

Resistance remains in the 143.36 - 143.74 area which is expected to cap the upside for a final dip closer to the 141.05 target.

R3: 143.74

R2: 143.36

R1: 143.06

Pivot: 142.59

S1: 142.21

S2: 141.95

S3: 141.52

Trading recommendation:

We are short GBP from 143.70 with our stop at 144.40, we will take profit+reverse our position at 141.25.

A clear breakout above minor resistance at 123.62 will be a strong indication that the wave ii has completed with the test of 122.49 and the wave iii towards 129.35 is ready to take over. In order to confirm that the wave iii is now in control, we need to see a breakout above resistance at 124.30.

Support is currently seen at 122.98 which will be able to protect the downside for an expected break above 123.62.

R3: 124.30

R2: 123.91

R1: 123.62

Pivot; 123.35

S1: 122.92

S2: 122.75

S3: 122.42

Trading recommendation:

We are long EUR from 122.51. We will move our stop higher to 122.41 risking only 0.10 pip.

In Asia, Japan will release the Leading Indicators and the US will publish some economic data such as Mortgage Delinquencies. So there is a probability the USD/JPY pair will move with low to medium volatility during this day. TODAY'S TECHNICAL LEVELS: Resistance. 3 : 110.32. Resistance. 2: 110.13. Resistance. 1: 109.92. Support. 1: 109.62. Support. 2: 109.41. Support. 3: 109.19. (Disclaimer)